International Business Machines (NYSE:IBM) Stock Price Down 2.4% – Here’s What Happened

International Business Machines Corporation (NYSE:IBM) was down 2.4% during trading on Thursday . The company traded as low as $284.44 and last traded at $294.7890. Approximately 7,705,415 shares changed hands during mid-day trading, an increase of 6% from the average session volume of 7,278,998 shares. The stock had previously closed at $302.05.

International Business Machines News Roundup

Here are the key news stories impacting International Business Machines this week:

• Positive Sentiment: IBM continues to get credit for growth in quantum computing and AI, including new enterprise software tools and multi-agent capabilities that could support future revenue. IBM Advances Enterprise AI Software Development with Multi-Agent Capabilities and Specialized Modernization Workflows
• Positive Sentiment: The stock still has implied upside to Susquehanna’s target, suggesting analysts see value if IBM can convert its AI and quantum strengths into stronger earnings growth. Susquehanna coverage note
• Neutral Sentiment: IBM’s latest product updates for its Bob platform and other AI tools reinforce its enterprise strategy, but these launches are not yet enough to change the near-term investment view. IBM Upgrades Bob With Multi-Agent AI
• Negative Sentiment: Starbucks’ move to build internal AI tools to replace Microsoft and IBM software highlights a potential risk to IBM’s enterprise software revenue if other large customers follow suit. There Are So Many Reasons to Like IBM Right Now—Just Not Enough to Buy the Stock
• Negative Sentiment: Analysts remain cautious heading into IBM’s upcoming Q2 earnings, with concerns that AI could pressure parts of the consulting and mainframe business even as newer growth areas expand. Susquehanna Praises IBM’s Quantum and AI Growth but Rates the Stock a Hold – Here’s Why

Wall Street Analysts Forecast Growth

Several research firms recently weighed in on IBM. Morgan Stanley raised shares of International Business Machines from an “equal weight” rating to an “overweight” rating in a research report on Tuesday, June 23rd. Citigroup boosted their target price on shares of International Business Machines from $285.00 to $375.00 and gave the company a “buy” rating in a research report on Tuesday, June 2nd. Needham & Company LLC initiated coverage on shares of International Business Machines in a report on Wednesday, June 3rd. They set a “buy” rating for the company. Susquehanna assumed coverage on shares of International Business Machines in a research report on Friday. They set a “neutral” rating and a $303.00 price target on the stock. Finally, Bank of America lifted their price objective on shares of International Business Machines from $315.00 to $330.00 and gave the company a “buy” rating in a research note on Monday, July 6th. Sixteen equities research analysts have rated the stock with a Buy rating and nine have given a Hold rating to the stock. According to data from MarketBeat, the stock has an average rating of “Moderate Buy” and an average price target of $306.28.

International Business Machines Trading Down 2.5%

The firm has a 50-day moving average of $263.77 and a two-hundred day moving average of $266.17. The firm has a market capitalization of $270.55 billion, a P/E ratio of 25.45, a P/E/G ratio of 2.85 and a beta of 0.68. The company has a current ratio of 0.80, a quick ratio of 0.76 and a debt-to-equity ratio of 1.75.

International Business Machines (NYSE:IBM) last released its earnings results on Wednesday, April 22nd. The technology company reported $1.91 earnings per share (EPS) for the quarter, beating analysts’ consensus estimates of $1.81 by $0.10. The firm had revenue of $15.92 billion for the quarter, compared to analysts’ expectations of $15.60 billion. International Business Machines had a return on equity of 37.23% and a net margin of 15.61%.The business’s revenue for the quarter was up 9.5% on a year-over-year basis. During the same quarter in the previous year, the business posted $1.60 earnings per share. On average, analysts anticipate that International Business Machines Corporation will post 12.45 EPS for the current year.

International Business Machines Increases Dividend

The business also recently declared a quarterly dividend, which was paid on Wednesday, June 10th. Investors of record on Friday, May 8th were issued a dividend of $1.69 per share. This is a boost from International Business Machines’s previous quarterly dividend of $1.68. The ex-dividend date of this dividend was Friday, May 8th. This represents a $6.76 annualized dividend and a dividend yield of 2.3%. International Business Machines’s payout ratio is presently 59.77%.

Hedge Funds Weigh In On International Business Machines

A number of institutional investors have recently added to or reduced their stakes in the stock. VIRGINIA RETIREMENT SYSTEMS ET Al grew its holdings in International Business Machines by 424.6% during the fourth quarter. VIRGINIA RETIREMENT SYSTEMS ET Al now owns 260,740 shares of the technology company’s stock valued at $77,234,000 after purchasing an additional 211,040 shares during the period. GLOBALT Investments LLC GA raised its stake in shares of International Business Machines by 19.1% in the fourth quarter. GLOBALT Investments LLC GA now owns 18,288 shares of the technology company’s stock valued at $5,417,000 after buying an additional 2,930 shares during the period. Newbridge Financial Services Group Inc. lifted its position in shares of International Business Machines by 30.0% during the 4th quarter. Newbridge Financial Services Group Inc. now owns 13,122 shares of the technology company’s stock valued at $3,887,000 after buying an additional 3,029 shares during the last quarter. Rice Partnership LLC purchased a new position in shares of International Business Machines during the 4th quarter valued at $3,317,000. Finally, Sage Investment Advisers LLC bought a new position in shares of International Business Machines during the 4th quarter worth $4,101,000. 58.96% of the stock is currently owned by institutional investors and hedge funds.

International Business Machines Company Profile

International Business Machines Corporation (IBM) is a global technology and consulting company headquartered in Armonk, New York. Founded in 1911 as the Computing-Tabulating-Recording Company (CTR) and renamed IBM in 1924, the company has evolved from early electromechanical machines to a diversified technology provider serving enterprises and governments worldwide. IBM is publicly traded on the New York Stock Exchange under the ticker symbol IBM.

IBM’s principal businesses encompass cloud computing and software, infrastructure and systems, consulting and technology services, and research and development.